Content
The global market for herbs and spices
RTS calculates that the Western European industrial market for herbs, spices and seasonings totals some 255,000 tonnes (a larger figure as other ingredients are included in the seasonings category). By value, the market breaks down as follows:
EU(15): Industrial Usage of Herbs, Spices & Seasonings, 2006
Meats and Savoury Foods : €388.6m
Meals : €168.5m
Snacks : €128.9m
Culinary : €106.1m
Fruit and Vegetable Products : €32.2m
Bakery and Cereals €12.2m
Dairy : €2.0m
Fish : €1.4m
Notes: provisional figures.
Source: RTS Resource Ltd.
Over the next five years we expect that the market value of industrial herbs, spices and seasonings in Western Europe will continue to grow by 1%, year on year. This is slightly better than for the market as a whole (+0.7%) but slightly lower than volume forecasts (+1.2%). The main reason for industrial prices rising slower than volume usages is due to continued prices pressure from major users coupled with a “polarising” supply side. That is, the supply of herbs, spices and seasonings is expected to continue to polarise between the large, highly efficient suppliers on the one hand and smaller, low overhead specialists on the other.
Conclusion
Overall usage of herbs, spices and seasonings will play a greater role in the foods we eat driven by continued demand for “new” and natural flavours. The expected level of growth will be greater than for the market as a whole as more prepared foods and snacks are produced commercially.
In addition to naturalness, market demand will increase for freshness and whilst the former will tend to favour “natural” flavour materials such as herbs and spices the latter is likely to result in an even greater substitution of dry seasonings, where possible, by “fresher” sources such as “wet” extracts, pastes, pulps, stocks and blends.
Meanwhile, increasing competition will continue to put pressure on prices.
Preview from Seasonings, Herbs & Spices 2011, the latest report from RTS Resource.
Publish Date: Autumn 2007
For more information:
e-mail : research@rts-resource.com
Tel : + 44 (0)1902 422282
NOTE: *The EU imports almost 300,000 tonnes in total, much of which is exported or re-exported.
Keywords for this research: Flavour, Flavor